The European economy in an expanding world

Summary Postwar economic development in Europe can be subdivided in two periods. In the first subperiod 1950–1973 growth is determined by catching up vis-d-vis the US. The second subperiod 1973–1993 is characterised by a reorientation with respect to the international division of labour. This sets the stage for future developments, which are presented in the form of three different scenarios. In the European Decline scenario Europe cannot match developments in the US and Japan. As appears from a scenario called Fortress Europe import protection provides no sensible solution. To compete on a world scale Europe needs more technological dynamics as sketched in the European Recovery scenario. Calculations of future paths are based on the WorldScan model of the Central Planning Bureau.Theo van de Klundert is Professor of Economics at Tilburg University. Ben Geurts and Hans Timmer are staff members of the Central Planning Bureau, The Hague. We are indebted to Martin Fase and Simon Kuipers for useful comments on an earlier version of the paper.     

Is the Dutch consumer a true ricardian?

Summary In this paper the intertemporal optimization approach is adopted in order to estimate an empirical version of Blanchard's (1985) overlapping generations model. The observed sluggishness in consumption is incorporated into the model by recognizing both durability and habit formation as relevant determinants of total consumption. The model is estimated using quarterly data for The Netherlands from 1969:I to 1990:IV. The empirical estimates suggest that the status of the Dutch consumer as a true Ricardian is unambiguously rejected. The results furthermore suggest that this rejection is due to the existence of both liquidity constraints and finite planning horizons.Comments by Peter Broer, Jeroen Kremers, Debora Molenaar, Rick van der Ploeg, Frans Spinnewyn, Casper de Vries, Ed Westerhout and two anonymous referees are very much appreciated. Elbert Dijkgraaf has provided invaluable research assistance. We also thank participants of the OCFEB workshop and the CES seminar at the K.U. Leuven for their comments.     

An empirical analysis of strategy types

Using the PIMS SPIYR data base, which pools cross-section and timeseries data, an empirical study to identify business strategy types was undertaken. Using a two-stage methodological approach combining principal component and cluster analysis on both a consumer products and an industrial products data base, two sets of strategy typologies were identified. Six strategy types were identified for consumer products: (1) harvest, (2) builder, (3) cashout, (4) niche or specialization, (5) climber, and (6) continuity. For industrial products, four strategy types were identified: (1) low commitment, (2) growth, (3) maintenance, and (4) niche or specialization. A discussion of the characteristics of each strategy type is offered.     

Petites bourgeoises and penny capitalists: women in retail in the Lille area during the nineteenth century

With few exceptions, historians have argued that in the nineteenthcentury women were excluded from most retail activities. InEurope women became increasingly concentrated in small-scale,under-capitalized, and short-lived stores. The "separate sphere" ideology in its different guises underlay this evolution.In North America, on the other hand, women capitalized on thisideology to carve a niche for themselves in trade and retailing.Women were not marginalized or segregated everywhere in Europe,however. In northern France the expansion of retail trade andoverall improvements in standards of living provided women,especially married ones, with opportunities they were not reluctantto grasp. Though the activities of married women remained subordinatedto the needs of their families, female retailers were neitherparticularly impoverished nor segregated in sectors deemed appropriatefor persons of their sex.     

Social accounting research: An Australasian perspective

This paper provides an insight into the nature and the extent of social accounting research being undertaken within Australasia. It demonstrates that Australasian researchers account for a significant amount of internationally published social accounting research, but emphasises that the research effort seems to be confined to a limited number of researchers perhaps reflecting a lack of ‘take-up’ in this area in terms of the scale of participation. Information is also presented about the relative propensity of journals within the sample to publish social accounting research, and identifies that ‘top tier’ accounting journals historically have not published social accounting research. The paper also considers various factors which seem to be impeding the ‘recruitment’ of new social accounting researchers.     

Testing the Cross-National Applicability of U.S. and Russian Advertising Belief and Attitude Measures

Abstract

Examining the cross-national applicability of advertising measures is becoming increasingly important, especially in rapidly changing countries such as Russia. Therefore, our study's purpose is first to demonstrate recommended procedures for testing the cross-national equivalence of advertising belief and attitude measures. Then, we conduct an initial cross-national comparison of beliefs and attitudes toward advertising in general between student samples from both the U.S. (n=148) and from Russia (n=64). Results indicate that, while Russian respondents felt advertising is more essential, U.S. respondents felt advertising resulted in greater negative social effects. Also, U.S. respondents were more favorable toward the institution of advertising (its purpose and effects), with no differences for the instrument of advertising (its methods and practices). Russian respondents' attitudes toward advertising in general were more favorable than those of U.S. respondents.     

Estimating Transition Probabilities from a Time Series of Independent Cross Sections

This paper considers the implementation of a nonstationary, heterogeneous Markov model for the analysis of a binary dependent variable in a time series of independent cross sections. The model, previously considered by M offitt (1993), offers the opportunity to estimate entry and exit transition probabilities and to examine the effects of time-constant and time-varying covariates on the hazards. We show how ML estimates of the parameters can be obtained by Fisher's method-of-scoring and how to estimate both fixed and time-varying covariate effects. The model is exemplified with an analysis of the labor force participation decision of Dutch women using data from the Socio-economic Panel (SEP) study conducted in the Netherlands between 1986 and 1995. We treat the panel data as independent cross sections and compare the employment status sequences predicted by the model with the observed sequences in the panel. Some open problems concerning the application of the model are also discussed.     

Majority and Minority Ownership of Publicly-Traded Firms: A Test of the Value of Control Using Market Multiples

Publicly-traded companies that are controlled by other publicly-traded companies provide a unique setting in which to test whether the market values of majority and minority ownership interests are proportionate to their ownership percentages. Test results indicate that the value of subsidiary net assets and net income are greater to majority shareholders than to minority shareholders. However, comparison of asset and income valuation with a sample of diffusely-held firms indicates that this valuation asymmetry is not due to a wealth transfer from the minority to the majority owners but to a discounting of the portion of the subsidiary owned by the minority shareholders.